Valmet - Interim Review: January - March 2014

Play	Interim Review
	Pasi Laine President & CEO Markku Honkasalo CFO
	Presentation
	Questions and answers
	1. a) Will Q2 be the bottom quarter? b) Effect of operating rates in North America on Services c) What year should we see growth in Services as newly installed base needs servicing?
	2. a) What is causing the cost accrual of EUR 10 million? b) How much of the EUR 100 million savings program was reached in Q1? c) Will the run rate be EUR 100 million at the end of the year?
	3. What is the pricing environment in projects right now?
	4. a) How long will the strong demand last in Pulp and Energy? b) How will the gross margin change when new pulp mill orders start running through the P&L? c) Pulp gross margin
	5. a) Can you give more color on Services growth? b) What is driving the cost accrual?
	6. a) Operating leverage - how has the break-even rate changed? b) What is your utilization rate right now? c) Where is your break-even point now given the headcount reductions? d) Operating leverage as sales will increase in H2 e) What is the normal state of operations?
	7. a) Are your operating rates still low somewhere after the increase in orders? b) Have you received any other big pulp project in Q1? Split between Pulp, and Energy? c) When are you out of the risk area regarding the big pulp order where cost accrual made?
	8. a) Is there any big order that you have not announced during Q1? b) Has there been a shift towards larger orders among the announced orders?

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